Franklin et. al. (2005) defined volcanogenic massive sulphide deposits as stratabound accumulations of sulphide minerals that precipitated at or near the sea floor. All VMS deposits occur in terrains dominated by volcanic rocks, although individual deposits may be hosted by volcanic or sedimentary rocks that form part of the overall volcanic complex (Franklin, 1996). VMS deposits primarily occur in subaqueous, rift related environments (i.e. oceanic, fore-arc, back-arc, continental margins, or continental) and hosted by bi-modal mafic-felsic successions, where the felsic volcanic rocks have specific geochemical characteristics.

Lara has previously been classified as a VMS deposit because of the apparent stratabound nature of the mineralized zone. The deposit has been further classified as belonging to the Bimodal Felsic sub-type of VMS deposits, as defined by Galley et al. (2007). This sub-type typically contains a barite cap and generally contains more precious metals than most VMS deposits.